Do you have an adequate amount of life insurance? (image via Tetra Pak on Flickr)

1. Your life insurance needs are as unique as you are.

There is no such thing as a one size fits all life insurance policy which is one reason it can take longer to get a life insurance policy in place. The key to achieving your life insurance goals is to know what you are trying to achieve and then buy a policy or policies that allow you to achieve them.

2. The life insurance you get through your employer may not be sufficient.

Many people have a basic life insurance policy through their employer and assume that this is all they need to do from a life insurance perspective. Unfortunately, if that policy doesn’t match your needs, you may not have the coverage you need.

3. Relying solely on employer offered life insurance may leave you with no coverage.

Even if your employer offered coverage meets your needs, if you leave your job or lose your job, you may find yourself without any coverage. The older you get, the more your life insurance premiums will be if you purchase a new policy and if you get a serious illness, you may not be able to get coverage at all.

4. The insurance you need will change over the course of your life.

The life insurance you need when you have small children and a mortgage is very different than what you will need when you are an empty nester on the verge of retirement.

5. Match your policy to your needs.

The amount of insurance you need changes as you move through your life. This is why it is important to match the amount of coverage you have to your needs. A mixture of whole and term policies can enable you to vary the amount of coverage you need over your lifetime.

6. Tell the truth on your application.

You will be required to undergo some kind of medical evaluation in order to obtain most life insurance policies. If you are not up front on your application, it may cost you your coverage right away or compromise your beneficiary’s ability to collect.

7. Your premium will depend on your health at the time of purchase.

The amount of your premium will depend on several factors, one of which is your health at the time of your application. Medical conditions like high blood pressure or high cholesterol can increase your premium, even if they are controlled with medication.

8. It saves to purchase your policies when you are young and in good health.

The amount you pay for a life insurance policy is generally set for the life of the policy when you purchase the policy, no matter how many years you have the policy. This is one reason that it makes sense to purchase coverage when you are younger rather than waiting until you feel like you can afford it.

9. Understand the policy terms.

In order to compare policies from different companies or even within the same company, you need to read through and understand the terms of the policy. You also need to understand if there are any conditions so that you don’t inadvertently do anything that compromises your coverage.

10. Shop around for the right policy at the right price.

Different companies have different offerings and use different pricing models. You may be paying for this policy for 30 years or more and it makes sense to make sure you are getting the best price for the coverage you need.